Special Needs Trust and California ABLE Accounts for People with Disabilities Written By Sandra McCarthy Founder, A People’s Choice In order for a disabled person to receive disability benefits, such as Supplemental Security Income (SSI) and Medicaid, he/she must demonstrate that he/she needs the income to live independently. Any assets, even gifts from family members, may count against him/her, and could reduce his/her benefits. There are two ways that family members can contribute to a disabled person without those contributions affecting their benefits- special needs trusts and California ABLE accounts. What our Clients Say... “A People’s Choice is awesome! They made the legal documentation process painless. I highly recommend A People’s Choice. The name says it all.” Eric J. “Cannot remember how I found A People’s Choice. I think it was through a web search. In any case I found the company and have been and am completely satisfied with the service provided. They were very friendly whenever we spoke on the phone and always responded promptly to any emails. The answers were always clear. The entire process was smooth and painless. I would recommend A People’s Choice without hesitation.” Les A. “When my father passed away without a will, we needed help handling the transfer of his assets. Since there weren’t significant assets, I didn’t want to spend too much on the legal paperwork. A People’s Choice offered just the right service we needed. In particular, the staff was very responsive to our document filing needs, helping to turn around corrections almost immediately. They helped to ease a tough situation.” Michael C. “I can’t say enough about the level of service and professionalism I received working with A People’s Choice. Emails were always responded to quickly and thoughtfully. They really care about the process and helping you get the best result with no up-selling. The process played out according to plan and I ended up saving a lot of money by going with A People’s Choice over an attorney.” M. Rice “My wife and I needed to have some papers filed in court but found that traditional lawyers were quite expensive. We found the phone number for “A People’s Choice” and gave them a call, and am so happy that we did. They did a very professional job completing our paperwork and I might say, at a very reasonable price. And you can bet; I will contact A People’s Choice again if or when the need arises. “ D. Hileman “I had the opportunity to use A People’s Choice again, Wow doesn’t say enough for the way the staff was able to get me in and out and all my answers answered. Very Professional, Organized and Friendly. I highly recommend!” Debbie E. “Made the process so easy for me. Also VERY prompt replies through email. So glad I used their services.” Kristina C. “I used A People’s Choice for a probate transaction and later for the preparation of a deed. All went smoothly. They were professional, efficient, easy to work with and reasonably-priced. Highly recommended.” David S. “A People’s Choice is extremely customer orientated and friendly. Their service was fast and reliable. in the future, should I need their services again, I will not hesitate to call them. All e-mails were answered with either a phone call or e-mail sometimes even late at night.” Tar “This team is efficient, professional, ethical and easy to work with. Any of my questions were responded to immediately. They did everything they could to help me. I highly recommend their services.” Leigh A. “This company is excellent! They helped me get through all of my paperwork, submitted it to the court, and now everything is complete. Everything was clear and almost too easy. I saved thousands of dollars!” Seth M. “I recently required the help of A People’s Choice, Inc. and found them to be entirely professional. Everything was done in short order yet all was explained to my satisfaction. They were friendly and courteous. I am happy and impressed.” C. Zyobel “I just recently moved to the Ventura area and didn’t know of any companies to help me with my legal paperwork. I am glad I chose A People’s Choice. They were very friendly and helped me with my documents in a very efficient way in very little time. Give them a try and you will be writing a positive review just as I did.” D. Buelna “A People’s Choice is a business that delivers what they promise. I was treated like a VIP by their staff and Sandy was the best. As for their services, they promptly delivered all of the official documents and fillings on my behalf and their price is more than reasonable. In short, this is a business that I will always recommend and continue to use. Thank you!” Juan B. “We love A People’s Choice. It’s legally run and professional. Everyone has to have a recommendation and license. Highly recommended.” Christy C. “Staff there were friendly, courteous and very professional. They did my Living Trust and the price was very reasonable. I am very pleased with their work and would highly recommend them.” Anne M. “A People’s Choice – Saved me time, money and hardship. The people are professional and a pleasure to work with, I totally recommend them to everyone! I will used them for all my legal documents in the future. Thank you!” C. Lazalde “Extremely satisfied with the performance of A People’s Choice. The communication was excellent and all was handled in a timely efficient manner.” Pam T. “A People’s Choice prepares legal documents so you can represent yourself and still look like you know what you’re doing. I utilized their services recently and found them to be professional as well as extremely helpful. I couldn’t be happier.” Evan J. “How much is peace of mind worth to you? This company of hardworking, caring individuals will help you get the job done in the quickest, most efficient way. Conveniently located. Check it out. Thank you!” Diana K. “The service provided by A People’s Choice was very professional and comprehensive. We have used A People’s Choice on a previous occasion and were completely satisfied. We would highly recommend A People’s Choice to anyone!” R. Betancourt “We needed to add a few changes to our estate plan. Found “A People’s Choice” on the internet. People were very efficient and helpful. The cost was way less than an attorney would have charged. Thank you.” Gene N. “I have worked with A People’s Choice since September 2013. They are very knowledgeable and experienced. Their work is done professionally and timely. They show a real concern for my situation. I recommend you give them the opportunity to be of service to you.” D. Echeverra “I needed to create a living trust, will and end of life statement. I checked out several options and found A People’s Choice. They’ve been in the business for years and their experience/expertise is a great asset. Second, it’s very helpful to have a real person you can work. Finally their prices are fair. Overall I rate A People’s Choice as excellent…quality, speed, personal service are qualities delivered!” Bruce R. “Very professional, excellent follow up and easy to work with. I will recommend them often! The staff rocks!” Gene A. “I was in need of serious help and didn’t know what to do. I had contacted a lawyer and he wanted to charge me $1800.00. Then I found A People’s Choice. They were great. They got my paperwork started and at a much lower cost, and steered me, with the help of lots of paperwork, in the right direction. Very grateful for the company’s services and would recommend them to anyone that may need the services they offer.” April R. “Super prices, great service, I can’t say enough about this place. We had A People’s Choice help us with a trust and POA. They are the best!” Jessica S. “Lightning fast response, I had my very simple document on the same day as my order for the very fair and reasonable price of $325 (including the rush fee!) compared to my attorney who quoted me 3 weeks and $2500. I will definitely use these folks again and highly recommend them!” L. Carnes “A People’s Choice is a great option to get legal documents prepared inexpensively. They offer a very professional, low cost service for all sorts of legal paperwork. I always received a prompt reply to my inquiries and found the legal guide they gave me extremely helpful and informative. I strongly recommend calling this company. You won’t be disappointed and will save lots of money as compared to using an expensive attorney!” Kathryn R. “I was very happy with the service received. They were extremely responsive by phone and email and completed the document in less than 24 hours! All questions were answered promptly. I would highly recommend this service to anyone needing a legal document prepared!” M.D. “Great service. Highly professional and efficient creating legal documents. I am completely satisfied and highly recommend them to others. I am so glad I found you on the internet. People who are looking for professional legal services look no further, try A People’s Choice.” Radtech N. Get help Setting Up a Special Needs Trust! "*" indicates required fields Name* First Last Email:* Enter Email Confirm Email Telephone:*Type of Case* Family Law Probate Estate Planning Guardianship Conservatorship Name Change Adoption Real Property Matters Expungement Business Other How Can We Help?* Need pricing Would like information I am ready to hire We are here to help. After submission, please check your email inbox for information about your selected services. If yo don't find it in your normal in-box, be sure to check your spam folder.We are glad to hear you are ready to get started!. On the next screen you will be provided a special discount code that will only be good for the next 30 minutes! Call now for your savings offer!HiddenCase Type NameThis field is for validation purposes and should be left unchanged. Δ Special Needs Trust A special needs trust is a trust that is set up naming the disabled person as the beneficiary. To be effective, a special needs trust must be irrevocable. A third-party special needs trust can be set up by the person’s parents, grandparents, siblings, etc. Once set up, anyone can contribute to it and there are no limits on the amount a person can contribute. The beneficiary must personally benefit from the money in the trust. The trustee controls the assets, and the disabled person will have no actual control over the how the trustee spends them. The trustee can use the money in the trust for any expenses, except food or housing costs. Other than those two restrictions, the money can be spent on anything, so long as the beneficiary benefits from the monies. California ABLE Accounts Another option for people with disabilities is an Achieving a Better Life Experience (ABLE) account. California ABLE accounts have tax advantages over a special needs trust, and unlike special needs trusts, the person with the disability, not a trustee, controls the money, giving the disabled person more control. An ABLE account is easier and cheaper to set up than a special needs trust. However, California ABLE accounts have some restrictions. Federal law requires that the disability began before the disabled person turned 26. The money in the ABLE account must pay for qualifying expenses. Qualifying expenses include daily living expenses, food, education, housing, transportation, health care, legal fees, and any other approved expenses. This requires someone with an ABLE account to keep careful records of his/her spending. Using money from a California ABLE account on unapproved expenses can reduce SSI benefits. Currently there is an annual $15,000 limit on third party contributions to an ABLE account. A disabled person may also contribute up to $12,060 a year of his/her own money to the account. This allows a person to save money without the assets counting against him/her. Once an ABLE account reaches $100,000, SSI benefits will stop. They will re-continue if the account balance falls below $100,000. Lastly, if the disabled person dies, money in the ABLE account will repay Medicaid, even money contributed by a third- party. Money in a third-party special needs trust does not need to repay Medicaid after the death of the beneficiary. Special needs trusts and California ABLE accounts offer two ways a disabled person can work around asset limitations and still receive their disability benefits. Because of the limitations of each type, a special needs person may need both types of accounts. If you need to set up a Special Needs Trust, contact A People’s Choice at 800-747-2780. Get help with your Legal documents today! A People’s Choice can save you hundreds of dollars by preparing your legal documents instead of an expensive attorney! GET STARTED!Was this article helpful? We would love to know your thoughts! If you found this article helpful, please check the LIKE button below. Your feedback helps us plan topics for future articles. By Sandra McCarthy|June 1st, 2019|Estate Planning|Comments Off on Special Needs Trust and California ABLE Accounts for People with Disabilities